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☆ EU lawmakers agree to tougher rules on targeted political ads
▼ + stars: | 2023-02-02 | by ( Foo Yun Chee | ) www.reuters.com time to read: +3 min

BRUSSELS, Feb 2 (Reuters) - EU lawmakers on Thursday agreed to tougher rules on targeted political advertising aimed at countering misinformation during elections, drawing support from Google's YouTube and civil rights activists and concerns from a tech lobbying group. The rules require U.S. tech giants to provide more data on their targeted political ads, with fines up to 4% of their global turnover for breaches. EU lawmakers toughened up some of the provisions in the Commission's draft and will now have to thrash out details with EU countries before the proposed regulation can become legislation. Lawmakers also backed a blanket ban on using minors' data and a ban on non-EU based entities from financing political advertisements in the EU. They proposed setting up an online repository for all online political ads and related data, and the possibility of periodic penalties for repeated violations.

Musk's Aug. 7, 2018 tweets sent Tesla stock soaring and after they fell back down, shareholders sued, alleging they lost money. But board members James Murdoch and Ira Ehrenpreis each said the tweets did not need to be vetted by the company before Musk sent them because he had done so in his individual capacity. The stock price soared after the tweet and then fell as it became clear the buyout would not happen. Tesla shareholders say they lost billions of dollars on their investments in stocks and other securities of the company. The buyout deal never came together because investors, particularly retail shareholders, expressed their interest in keeping the company public, according to testimony by Musk.

BERLIN/FRANKFURT, Feb 1 (Reuters) - U.S. chipmaker Wolfspeed (WOLF.N) will build a $3-billion chip plant and a research and development centre in Germany, it said on Wednesday, expecting to start construction within months provided it receives subsidy approval from the European Union. Automotive supplier ZF (ZFF.UL) will invest $185 million for a stake in the chip fab and will take a majority stake in the research centre, the companies said. Wolfspeed expects to receive 20% of the investment amount in subsidies, Chief Executive Gregg Lowe told German newspaper Handelsblatt. Volkswagen, Europe's top carmaker, earlier this month warned that the chip squeeze meant 2023 would remain volatile and challenging, but expected supplies to improve. The company announced in September a new plant in the United States due for completion in 2030.

☆ Wolfspeed to build $3-bln EV chip plant in Germany
▼ + stars: | 2023-02-01 | by ( ) www.reuters.com time to read: +3 min

BERLIN/FRANKFURT, Feb 1 (Reuters) - U.S. chipmaker Wolfspeed (WOLF.N) will build a $3-billion chip plant in Germany, with automotive supplier ZF (ZFF.UL) investing $185 million for an equity stake, company officials said on Wednesday, confirming an earlier Reuters report. ZF's share of the factory's chip output will be defined by a separate contractual agreement, the companies said. "This is an important sign that Germany continues to be attractive even in difficult circumstances for high-tech investments," he said. "Amid the concerns that the U.S. wants to divert investments from Europe with its Inflation Reduction Act, we're showing that a U.S. firm wants to invest in Germany," a German government source said. The company announced in September a new plant in the United States due for completion in 2030.

LISBON, Feb 1 (Reuters) - Europe was entering an "inevitable" post-pandemic period of airline consolidation as legacy flag-carriers struggle to navigate through a competitive landscape, the chief executive of low-cost carrier Ryanair (RYA.I) said on Wednesday. "We are definitely, post-COVID, entering a four or five-year period of consolidation," Ryanair's Michael O'Leary told Reuters on the sidelines of a news briefing in Portugal's capital Lisbon. Many of Europe's legacy airlines are finding it tough to effectively compete with budget carriers, hampered by weak balance sheets that could be made more robust by merging with rivals, analysts have said. Lufthansa, Air France-KLM and British Airways owner IAG are potential buyers, according to analysts. O'Leary said he believed the sector in Europe would move towards having four large airlines: Lufthansa, Air France-KLM (AIRF.PA), IAG and and Ryanair.

Companies Tesla Inc FollowFeb 1 (Reuters) - Tesla Inc (TSLA.O) board members are expected to take the stand on Wednesday to defend against claims that Elon Musk misled investors when he tweeted in 2018 he had "funding secured" to take the company private. The trial in San Francisco federal court is testing whether the world's second-richest person can be held liable for his sometimes impulsive use of Twitter. The defendants, which include Musk, Tesla, and current and former directors, are expected to begin calling witnesses on Wednesday. Current Tesla directors Kimbal Musk, and James Murdoch and Ira Ehrenpreis may testify about their communications with Musk about his proposed buyout, according to court documents. Musk told the jury last week he could have financed the potential deal from existing Tesla investors as well as Saudi Arabia's sovereign wealth fund, the Public Investment Fund.

☆ Wolfspeed to announce EV chip plant in Germany, sources say
▼ + stars: | 2023-02-01 | by ( ) www.reuters.com time to read: +3 min

BERLIN/FRANKFURT, Feb 1 (Reuters) - German chip supplier ZF Friedrichshafen (ZFF.UL) and U.S. chipmaker Wolfspeed (WOLF.N) will announce plans on Wednesday to build an electric vehicle chip plant in the Saarland region, according to three sources close to the matter. "This is an important sign that Germany continues to be attractive even in difficult circumstances for high-tech investments," he said. "Amid the concerns that the U.S. wants to divert investments from Europe with its Inflation Reduction Act, we're showing that a U.S. firm wants to invest in Germany," a German government source said. Volkswagen, Europe's top carmaker, earlier this month warned that the chip squeeze meant 2023 would remain volatile and challenging, but expected supplies to improve. Wolfspeed specialises in silicon carbide chips, which have been gaining traction with electric car makers as they can handle high voltages and are more power efficient.

☆ Nomura's Q3 profit grows despite investment banking slump
▼ + stars: | 2023-02-01 | by ( Makiko Yamazaki | ) www.reuters.com time to read: +2 min

TOKYO, Feb 1 (Reuters) - Nomura Holdings Inc (8604.T), Japan's biggest brokerage and investment bank, reported an 11% rise in quarterly net profit on Wednesday, as a partial stake sale in an affiliate offset a slump in investment banking. Nomura's wholesale division, which houses its investment banking and trading businesses, logged a pretax loss of 1.9 billion yen ($14.58 million), its first loss since the April-June quarter of 2021. read moreEven as Nomura's investment banking business was underpinned by relatively solid dealmaking activity in Japan, it confirmed layoffs of bankers in Europe and Asia. Kitamura said the company would stick to its strategy of beefing up its investment banking business, however. ($1 = 130.3400 yen)Reporting by Makiko Yamazaki; Editing by Muralikumar Anantharaman, Subhranshu Sahu and Bernadette BaumOur Standards: The Thomson Reuters Trust Principles.

☆ China expands IPO reform to help companies raise capital
▼ + stars: | 2023-02-01 | by ( ) www.reuters.com time to read: +3 min

SHANGHAI, Feb 1 (Reuters) - China published draft rules on Wednesday to broaden the registration-based initial public offering (IPO) system, marking a big step towards reforming the world's second-biggest stock market. Expanding the U.S.-style IPO mechanism to all corners of China's stock market will speed up listings and corporate fundraising, as Beijing seeks to revive a COVID-ravaged economy. The fresh reform will also benefit investment banks and private equity funds, though some fear a flood of listings could drain market liquidity. The registration-based IPO system, first adopted by the tech-focused STAR Market, was later rolled out to start-up board ChiNext and the Beijing Stock Exchange. The CSRC will consolidate IPO rules for Shanghai, Shenzhen and Beijing bourses.

The automaker said in a filing it "has received requests from the DOJ for documents related to Tesla’s Autopilot and FSD features." Reuters reported in October Tesla is under criminal investigation over claims that the company's electric vehicles could drive themselves. Acting National Highway Traffic Safety Administration (NHTSA) chief Ann Carlson said this month the agency is "working really fast" on the Tesla Autopilot investigation it opened in August 2021 that she termed "very extensive." In June, NHTSA upgraded to an engineering analysis its defect probe into 830,000 Tesla vehicles with Autopilot, a step that was necessary before the agency could demand a recall. The Wall Street Journal reported in October that the Securities and Exchange Commission is conducting a civil investigation into Tesla's Autopilot statements, citing sources.

☆ GM reports higher quarterly profit, expects strong earnings in 2023
▼ + stars: | 2023-01-31 | by ( ) www.reuters.com time to read: +1 min

REUTERS/Aly SongDETROIT, Jan 31 (Reuters) - General Motors Co (GM.N) on Tuesday reported a higher quarterly net income for the fourth quarter, and forecast stronger-than-expected earnings in 2023, sending its shares up over 5% in premarket trading. The company expects its core auto operations to perform at a consistently strong level in 2023, with full-year net income attributable to stockholders of $8.7 billion-$10.1 billion, adjusted EBIT of $10.5 billion-$12.5 billion, and diluted and adjusted earnings per share of $6.00-$7.00. The company expects adjusted automotive free cash flow of $5.0 billion to $7.0 billion in 2023, with net automotive cash from operating activities of $16.0 billion to $20.0 billion. EBIT-adjusted income of $3.8 billion topped the year-earlier $2.8 billion, as higher prices and increased sales volume in North America more than offset higher costs. Diluted adjusted earnings per share of $2.12 in the quarter compared with $1.99 a year earlier.

☆ EV maker Lotus Tech to go public in the U.S. via deal with L Catterton SPAC
▼ + stars: | 2023-01-31 | by ( Brenda Goh | ) www.reuters.com time to read: +2 min

Lotus Tech is the luxury electric vehicle maker division of sports car brand Group Lotus, which is in turn owned jointly by Chinese automaker Geely (GEELY.UL) and Malaysia's Etika Automotive. The unit is headquartered in the central Chinese city of Wuhan and produces cars through a partnership with Geely. Lotus Tech's existing shareholders, including Geely, Etika and NIO Capital, an investment firm founded by the CEO of Chinese electric vehicle maker Nio Inc , will retain their interests in the company and own 89.7% of it following the deal, it said. The company plans to use the proceeds from the combination of the businesses for product innovation and to expand its global distribution network. "We expect the partnership to provide significant support as Lotus Tech expands globally, with promising brand collaboration and strategic partnership potential worldwide," Lotus Tech's Chief Executive Officer Feng Qingfeng said.

☆ Norwegian airline Flyr files for bankruptcy
▼ + stars: | 2023-01-31 | by ( Terje Solsvik | ) www.reuters.com time to read: +2 min

OSLO, Jan 31 (Reuters) - Loss-making Norwegian airline Flyr (FLYR.OL) said on Tuesday it would file for bankruptcy after failing to raise the cash it needed for its operations. More than 400 employees will lose their jobs as a result of the bankruptcy, Flyr founder and board Chair Erik Braathen told Norwegian daily Dagbladet. Flyr is the latest Nordic carrier to hit financial difficulties in recent years as the pandemic, soaring energy costs and falling consumer confidence dented demand. SAS is itself undergoing a reorganisation under U.S. Chapter 11 bankruptcy protection proceedings, while Norwegian Air in 2021 underwent restructuring supervised by an Irish court, emerging as a slimmed-down regional airline. ($1 = 9.9939 Norwegian crowns)Reporting by Terje Solsvik Editing by Bernadette Baum, Mark Potter and Mark HeinrichOur Standards: The Thomson Reuters Trust Principles.

☆ In West Bank, Blinken presses for two-state solution
▼ + stars: | 2023-01-31 | by ( Simon Lewis | ) www.reuters.com time to read: +5 min

Summary U.S. Secretary of State in West Bank after IsraelBlinken restates U.S. support for two-state solutionViolence surges in decades-old conflictRAMALLAH, West Bank Jan 31 (Reuters) - U.S. Secretary of State Antony Blinken shuttled from Israel to the Palestinians' West Bank on Tuesday, appealing for an end to resurgent violence and reaffirming Washington's backing for a two-state solution to the decades-long conflict. He took that message into a meeting with Palestinian President Mahmoud Abbas in Ramallah, warning all parties against any action that could threaten a two-state solution, with an independent Palestinian state alongside Israel. Netanyahu has reinforced troops in the West Bank and promised measures to strengthen settlements there, but has said Israel was not looking to escalate the situation. On Tuesday, Blinken met Israeli Defence Minister Yoav Gallant and discussed cooperation to stop Iran developing a nuclear weapon as well the situation in the West Bank. Hopes of achieving a two-state solution, with a Palestinian state based largely in the West Bank, have all but disappeared since the last round of U.S.-sponsored talks stalled in 2014.

☆ Stocks fall, U.S. yields climb as central bank hikes awaited
▼ + stars: | 2023-01-30 | by ( Chuck Mikolajczak | ) www.reuters.com time to read: +4 min

Investors widely expect the Federal Reserve will raise rates by 25 basis points (bps) on Wednesday, with announcements on Thursday from the Bank of England and European Central Bank (ECB), both of which are largely expected to hike by 50 bps. The U.S. corporate earnings season also rolls on, with earnings this week expected from Apple (AAPL.O), Alphabet (GOOGL.O) and Amazon (AMZN.O). The pan-European STOXX 600 index (.STOXX) lost 0.17% and MSCI's gauge of stocks across the globe (.MIWD00000PUS) shed 0.99%. U.S. Treasury yields rose ahead of the central bank meetings and economic data, with the 10-year yield up for a third consecutive session. Crude prices fell ahead of the expected hikes by central banks and signals of strong Russian exports.

☆ Stocks fall, U.S. yields climb with central banks on tap
▼ + stars: | 2023-01-30 | by ( Chuck Mikolajczak | ) www.reuters.com time to read: +4 min

[1/3] Traders work on the trading floor at the New York Stock Exchange (NYSE) in New York City, U.S., January 27, 2023. Stocks in Europe closed lower, with rate-sensitive names such as technology shares among the primary decliners after inflation data from Spain came in above expectations while other data showed the German economy unexpectedly contracted in the fourth quarter. The pan-European STOXX 600 index (.STOXX) lost 0.17% and MSCI's gauge of stocks across the globe (.MIWD00000PUS) shed 0.85%. U.S. Treasury yields rose ahead of the central bank meetings and economic data, with the 10-year yield up for a third consecutive session. Crude prices fell ahead of the expected hikes by central banks and signals of strong Russian exports.

☆ U.S. hits Volvo Group North America with $130 mln penalty over delayed recalls
▼ + stars: | 2023-01-30 | by ( David Shepardson | ) www.reuters.com time to read: +2 min

The National Highway Traffic Safety Administration (NHTSA) said Volvo Group agreed to a three-year consent order that includes one of the largest-ever penalties for violations under the recall law. Volvo Group North America agreed to oversight by an independent third-party auditor and will meet regularly with NHTSA to ensure it addresses any potential safety issues, the agency said. Volvo Group North America is the parent company to Mack Trucks, Nova Bus, Prevost Car (US), VNA Holding and Volvo Group Canada. Volvo Group must pay $65 million within 60 days and $45 million is due if it fails to comply with the agreement. Volvo Group is a separate entity from Volvo Cars.

☆ Exclusive: India economic survey likely to peg 2023-24 growth at slowest in three years - source
▼ + stars: | 2023-01-30 | by ( ) www.reuters.com time to read: +3 min

MUMBAI, Jan 30 (Reuters) - India's annual pre-budget economic survey is likely to peg GDP growth at 6-6.8% for 2023-24, according to a source. Nominal growth is likely to be forecast at 11% for 2023-24, the source added. An economic survey by Chief Economic Adviser V. Anantha Nageswaran will be tabled in the parliament on Tuesday by Finance Minister Nirmala Sitharaman, a day before she presents the budget for the next fiscal year. The Economic Survey is the government's review of how the economy fared in the past year. The government's economic research department will also likely point to improvement in the financial health of the Indian banking sector as a factor aiding economic growth.

☆ Danish Crown says Chinese pork demand subdued, set to cut 550 jobs
▼ + stars: | 2023-01-30 | by ( Jacob Gronholt-Pedersen | ) www.reuters.com time to read: +2 min

Chinese pork demand is weak despite relaxation of the country's COVID policies as many people continue to avoid restaurants, said Jais Valeur, the head of Europe's biggest pork producer. "Right now I don't see any signs that Chinese imports are on the rise," Valeur told Reuters in an interview, adding that the Chinese market would probably normalize within six months. Slow Chinese demand has a knock-on effect on the European market. The outbreak of African swine fever in some European countries, including Germany, prompted producers in Spain to boost output aimed at the Chinese market. "All that meat is now flooding the European market, where consumers are now coping with inflation and are worried about the future," Valeur said.

But the wave of buying spread beyond crude to encompass U.S. gasoline (+11 million barrels), U.S. diesel (+8 million) and European gas oil (+7 million). Chartbook: Investor petroleum positionsThe net position across all six contracts climbed to 575 million barrels (47th percentile for all weeks since 2013), up from 343 million barrels (11th percentile) on Dec. 13. Hedge funds became more bullish about Brent than at any time since May 2019, before the pandemic erupted and upended the oil industry. In the oil market, investors are increasingly sure continued growth will cause supplies to tighten and send prices higher. Unenviable alternatives for 2023 (Reuters, Jan. 26)- Investors surge back into oil on rising economic optimism (Reuters, Jan. 23)- Bullish oil investors look beyond China's COVID wave (Reuters, Jan. 3)- Investors abandon bullish oil positions as recession nears (Reuters, Dec. 12)John Kemp is a Reuters market analyst.

☆ Facebook seeks to block $3.7 billion UK mass action over market dominance
▼ + stars: | 2023-01-30 | by ( Sam Tobin | ) www.reuters.com time to read: +2 min

Meta Platforms Inc (META.O), the parent company of the Facebook group, is facing a mass action brought on behalf of around 45 million Facebook users in Britain. Her lawyers said users should get compensation for the economic value they would have received if Facebook was not in a dominant position in the market for social networks. Its lawyers said the claimed losses ignore the “economic value” Facebook provides. But lawyers representing Meta said the lawsuit wrongly assumes that any “excess profits” it might make equates to a financial loss suffered by individual Facebook users. This approach “takes no account whatsoever of the significant economic value of the service provided by Facebook”, Marie Demetriou said in court documents.

☆ Industry body clarifies what happens when crypto derivatives crash
▼ + stars: | 2023-01-26 | by ( Huw Jones | ) www.reuters.com time to read: +2 min

LONDON, Jan 26 (Reuters) - An industry body set out a global framework on Thursday for trading derivatives linked to cryptoassets to avoid FTX-style collapses sowing confusion over ownership. The International Swaps and Derivatives Association (ISDA) published guidance for trading digital asset derivatives to clarify what happens when things go wrong in an underlying market, such as the collapse of crypto exchange FTX. While most of the recent problems have occurred in the spot cryptocurrency market, many of the legal uncertainties could affect digital asset derivatives too. It will now include the body's first standard documentation for trading digital asset derivatives, initially covering non-deliverable forwards and options on Bitcoin and Ether. It could be expanded in future to cover additional product types, including tokenized securities and other digital assets executed on distributed ledger technology (DLT), ISDA said.

[1/3] Vehicle lights cause light streaks on the road along a market, during country-wide power breakdown in Karachi, Pakistan January 23, 2023. But the blackout in Pakistan on Monday was its second near-complete grid failure and the third in south Asia in three months. Grid operators attempt to keep the frequency of the grid stable at 50 hz, with deviations over 0.05 hz typically considered abnormal. "Transmission lines tripped, which resulted in isolation of north and south system," Akthar said in the note. About 11.35 gigawatts (GW) of power plants were in operation across the country when the transmission lines tripped and separated the northern and southern grid, the note read.

☆ Ukrainian authorities detain alleged spy in security service
▼ + stars: | 2023-01-26 | by ( ) www.reuters.com time to read: +1 min

KYIV, Jan 26 (Reuters) - Investigators have detained a Ukrainian security official on suspicion of spying for Russia, authorities said on Thursday, part of an effort by Kyiv to weed out moles nearly a year into a war with Russia. The official - a lieutenant colonel in the Security Service of Ukraine (SBU) which joined the operation - had revealed the location of military checkpoints and other "secret information", the State Bureau of Investigation (SBI) said. A search turned up mobile phones, Russian SIM cards, cash and other evidence proving "longstanding ties" to Russian state and law enforcement structures, the SBI added. "Today the service works as a single team and is doing the maximum for Ukraine's victory," said SBU chief Vasyl Malyuk in a separate statement. Ukrainian President Volodymyr Zelenskiy fired the previous SBU director, a childhood friend, last July citing collaboration with Russia by officials in the powerful agency.

[1/2] Palestinian kids pass a pile of garbage in Al Jalazone refugee camp near Ramallah, in the Israeli-occupied West Bank, January 25, 2023. REUTERS/Mohamad Torokman/File PhotoRAMALLAH, West Bank Jan 25 (Reuters) - Schools, clinics and some municipal services in the West Bank were closed on Wednesday as workers went on strike for a third day amid an escalating funding squeeze on the United Nations agency that pays their wages. Around 3,700 workers in the West Bank joined the strike, demanding an across-the-board pay increase of 200 Jordanian dinars ($281.81) a month from the United Nations Relief and Works Agency (UNRWA). "The strike will go on until UNWRA accepts our demands," said Jamal Abdullah, head of the union representing workers paid by the agency in the West Bank. "All indications point out that it is going to be a difficult year," said Adnan Abu Hasna, spokesman of the United Nations Relief and Works Agency (UNRWA) in Gaza City.

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